Your equity won't likely increase beyond the cost to build because there aren't a ton of ADU comps on the market yet. 

They may also require US credit history, although there are a handful that will not require a US credit report for an increased rate/ reduction in LTV. 

We plan to remove them all to protect from tax increases on our current primary, but I am afraid that now that the other properties won't have homesteads, we may see skyrocketing tax bills and it will eat into already small cash flow from rental income.Does anyone have advice for how to handle this situation other than just increasing rent?

I will mention that a hot tub could really increase the frequency of bookings. 

The property was leased for $2,150 per month.Refinance and Return on InvestmentAfter a stabilization period of 6 months, the property was refinanced to leverage the increased value created through renovations.

Pretty much the core of the STR business.Higher your rank gets, you can increase your price and be more picky in selecting customers which usually lead to a better review / less party or complaints / less expense and higher profit with a happy life.I know some people will argue, but the ranking system is the truth and should be the only guide to your STR journey. 

I'm also not super optimistic on rents increasing over the next year or two though, especially if we go into a recession.

You'll figure out a good price for yours, but be sure to check the market every month or so, and track whether it is increasing, stabilizing, or decreasing.

If the violations took place prior to purchase, I would at least give them written notice that you are aware of the previous violations and that just one under your watch would result in an eviction.in the meantime, I would shop for new insurance and pass the increase on to the tenant.

This has become challenging due to an increased interest in the historic district in Dubuque due to revitalization plans that include 18 million dollar investment into the historic downtown area.